Colorado Springs, CO Accessory Structures: ADU Rental Restrictions (2026)
Key Facts
- Governing section
- UDC Subsection 7.3.304A.4.d
- Rule
- No STR use on any lot with an ADU
- Grandfather cutoff
- Legal ADU + legal STR before June 30, 2025
- Nonconforming authority
- Section 7.5.804 (nonconforming uses)
- Max fine
- $2,500 plus up to 189 days jail (Sec. 1.1.201)
Summary
Colorado Springs bars any property with an Accessory Dwelling Unit from also operating as a short-term rental. Under UDC Subsection 7.3.304A.4.d, once an ADU is built, the principal dwelling, the ADU, and every other structure on the lot lose STR eligibility, with a narrow grandfather clause for properties that held both a legal ADU and a legal STR permit before June 30, 2025.
d. Where an ADU is constructed on a property, the principal structure, ADU, and any other building or structure on that property shall not be used as a short term rental. Notwithstanding the foregoing, should a property have both a legally permitted ADU and a legally permitted short term rental on or before June 30, 2025, said ADU and short term rental may continue as nonconforming uses in accord with Section 7.5.804 until such time as the uses change, the short term rental permit expires, is withdrawn, or is otherwise terminated, or as otherwise required by Code.
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-21: Code current through: Ord. 26-23, passed June 9, 2026).
Full Breakdown
d addresses the collision between two popular accessory uses: Accessory Dwelling Units and short-term rentals (STRs). The rule is absolute in its default form: an ADU on a property forecloses STR use of the whole lot, not just the new unit, the primary house is swept in too, along with any other building on the property. 804, but only until the use changes, the STR permit expires, is withdrawn, or is otherwise terminated, at which point the STR use cannot be reinstated on an ADU property.
The Planning Department (the 'Manager' under the UDC) reviews ADU building-permit applications and would flag an active or pending STR license on the same parcel during that review. Because STR licenses in Colorado Springs require periodic renewal, a lapse on a property that also has an ADU permanently closes the nonconforming pathway, the property cannot re-enter STR use afterward. Owners weighing both an ADU addition and STR income on the same lot must choose one path going forward; the Code does not allow a newly built ADU to sit alongside a newly obtained STR permit under any circumstance.
Violations & Fines
Operating an unpermitted short-term rental on a property with an ADU violates UDC Subsection 7.3.304A.4.d and City Code Section 1.1.201's general penalty: conviction carries a fine up to $2,500, up to 189 days in jail, probation, or a combination, with each day of continued violation charged as a separate offense. The City may also deny or revoke the associated STR or building permit pending compliance.
Frequently Asked Questions
Can I keep renting my Airbnb after I build an ADU in Colorado Springs?
What happens to a grandfathered ADU-plus-STR property if the STR permit lapses?
Does the ban apply only to the ADU itself?
Sources & Official References
Other rules in Colorado Springs
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